The Corporation Owning All or a Majority of the Voting

question 21

True/False

The corporation owning all or a majority of the voting stock of another corporation is known as the parent company.

---

Definitions:

Retained Earnings

The portion of a business's profits not distributed to shareholders as dividends but retained by the company for reinvestment or to pay debt.

Dividends Declared

The announcement by a company’s board of directors of the payment of a specified amount per share to its shareholders, to be paid on a certain date.

Accounting Record

Documentation that contains the financial history and transactions of a company.

Shareholders' Equity

The amount of a company's total assets minus its total liabilities, representing the owners' share of the company.